Business Environment Macroeconomic Outlook Capital Market Banking Sector Privatization and Investments Economic Freedom Business News In the Spotlight Coming up... 18.000 16.000 14.000 12.000 10.000 8.000 6.000 4.000 2.000 0 feb.11
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Trade on the Stock Exchange
Taking into consideration shares from a single company, the highest monthly trade volumes in 2011 were reached in April when shares of the bank (Prva Banka Crne Gore) reached a total of €5.38 million through 74 transactions, and again in May when company HTP Primorije Tivat achieved a total of €2.33 million in trade volume through just one transaction.
Stock Exchange Indices
Graphic 6. MONEXPIF
The new stock exchange uses the two indices MONEKS20 and MONEKSPIF. These indices were developed from the former Montenegrin stock market indices: MOSTE, NEX20 and NEXPIF.
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Graphic 7. Turnover structure 5,6%
Shares
The value of the Montenegro Security Exchange, MONEX20, upon which MSE’s 20 most liquid companies are traded, showed a downward trend from the beginning of 2011. The highest value that was reached by MONEX20 during the first five months of 2011 was recorded on January 24th at a level of 15,724 points, and the lowest value was recorded on May 24th at a level of 11,858 points. Variations in the index value have influenced all of the changes shown by the shares represented in this index, particularly those belonging to the Electric Power Company and to Telekom Montenegro.
PIFs units
MONEXPIF
Bonds
Graphic 8. Turnover and number of PIFs
shares 350.000
10.000.000
311.693
9.000.000 300.000
9.071.815
264.045
253.962 246.808
250.000
6.000.000 5.000.000
3.968.941 133.483 4.317.463
100.000
8.000.000 7.000.000
200.000
150.000 3.652.942
4.143.962
4.000.000 3.000.000
92.004
2.000.000 50.000
1.764.891
1.000.000
0
0 Atlas Mont
Eurofond
HLT Volume
The Montenegro Stock Exchange plans, this year, to draft a new index in cooperation with the Vienna Stock Exchange, with which Montenegro fosters a long-term relationship of successful cooperation. The said plan would result in calculating the index on the Vienna Stock Exchange and in publishing the results through the same medium. Companies that are includet in the index basket are automatically exposed to direct monitoring by international investors. Consequently, the plan would be for at least one Montenegrin company to be represented in the index basket index, an index which would include companies from South East Europe, and which would be calculated, published and directed worldwide by the famous index provider, Dow Jones.
MONEX20
5,3%
89,1%
8
The aims of the Montenegro stock exchange in 2011, are to enrich the market, and to introduce new market material or derivative securities, which will expand the existing offer and will also refresh the market. The project plan has been implemented through cooperation with European agencies that specialize in the development of this market segment. The primary issue of foreign shares will be processed by Montenegroberza, this will be carried out through a standard IPO process.
During the first five months of 2011, the total volume of trade carried out on the Montenegro Stock Exchange amounted to €23.1 million, which was 5% less than the volume of trade that had been seen on the stock exchanges during the previous year (€24.3 million). During the same period of 2011, a total number of 6,262 transactions were completed. Three types of security were traded: company shares, privatization-investment fund shares and bonds which included government bonds. During the first five months of 2011, the greatest turnover was recorded in the area of company shares (89.1%). This was followed by investment funds at 5.6%, while the total of turnover bonds amounted to 5.3%.
Graphic 5. MONEX20
jan.11
Capital Markets
MIG Shares
Moneta
Trend
The value of this index showed significant fluctuations, including considerable growth and also considerable dips, during the first five months of 2011. It reached its highest level on February 15th with a total of 6,673 points. The lowest point was recorded on May 10th with a value of 5,074 points. The index value was influenced in such a way that a similar trend was evident in all of the six privatization investment funds.
Privatization – Investment Funds on the Stock Exchange The total volume of trade that involved PIF shares during the first five months in 2011 amounted to €1.3 million. This represented a drop of 6% when compared with the figures recorded during the same period in 2010 (about €1.39 million in trade volume). In total there were 1,530 transactions, and these included a total number of 26.9 million shares taken from all six PIFs. The most actively traded shares during this period were Eurofond, whilst the least traded were MIG shares.